External trade in goods, indices of volume and price, Q2 2013

The volume and price indices for external trade in goods show that import prices increased by 0.7 per cent from the first to the second quarter. Prices rose for most types of goods. One of the reasons import prices grew is that the Norwegian krone (NOK) depreciated against other currencies. The import-weighted currency index calculated by Norway’s Central Bank was 2.3 per cent higher in the second quarter than in the previous quarter. Even if prices were unchanged in foreign currencies, this depreciation would make imports more expensive, measured in NOK.

Compared with the second quarter of 2012, import prices have increased by one per cent. Prices rose for goods such as food, machinery and different manufactured articles. On the other hand, prices of crude materials, mineral fuels and metals have decreased. Relative to the same quarter last year, the NOK exchange rate was virtually unchanged.

Lower growth in import volume than usual

The volume index for imports indicates that the volume of Norwegian imports was more than 7 per cent higher in the second than the first quarter. Imports increased for most types of goods, with clothing and footwear as notable exeptions: Here the volume fell by more than 25 and almost 40 per cent, respectively.

It is common that imports increase from the year’s first to its second quarter. Adjusted for normal seasonal variations, the import volume was 2.4 per cent lower in the second than in the first quarter.

From the second quarter of 2012 imports have increased by 2.3 per cent. The strongest growth was found in meat, electricity, clothing, telecommunications equipment and electrical machinery. These are groups which include many consumer goods, but the latter two also encompass goods that are imported for use in manufacturing and other kinds of business, as well as for public consumption and investment.

Slightly lower export prices

Prices of Norwegian exports fell by 0.3 per cent from the first to the second quarter. A 6.1 per cent decline in prices of petroleum and petroleum products was an important reason for the overall fall. At the same time, the price for natural gas increased by 4.1 per cent. Excluding oil an gas, export prices grew by 0.2 per cent.

Norwegian export prices have been relatively stable over the past year, following years of large changes in oil and gas prices. Changes in these prices have to some extent neutralized each other in the past four quarters, by going in opposite directions from one quarter to the next. Compared with the second quarter of 2012 export prices were 0.6 per cent lower in the same quarter this year.

Among other important export goods prices of fish were more than 20 per cent higher in the second quarter than one year ago, due to large increases in the past two quarters. The price index for fish is now close to the peak it reached in the first quarter of 2011. At the same time prices for metals continue to fall. Prices for non-ferrous metals fell by 6.1 per cent over the past four quarters, and have had a downward trend for the past two and a half years.

Lower export volume

The volume of Norwegian exports was 2.8 lower in the second quarter than in the first. The decline is mainly due to lower exports of oil and gas. See a separate statement for external trade in goods for more on this.

Relative to exports in the second quarter of 2012 the volume was 4.3 per cent lower in the second quarter this year. In addition to lower exports of oil and gas, volumes fell for fish and metals. Exports of machinery and chemical products, on the other hand, have increased.